Museums, Zoos and Parks

The 7,700 firms operating museums, zoos and parks in the US earn revenue from contributions, gifts, and grants (public and private sources); admission fees; investment income; and resale of merchandise. Museums preserve and exhibit objects of historical, cultural and/or educational value. Historical sites involve the preservation and exhibition of sites, buildings, forts, or communities that are related to events or persons of historical significance. Zoos exhibit animal life displays. Natural parks are natural areas designated for the enjoyment of the public.

Dependence on Donations

Museums, natural parks, zoos, and related organizations are highly dependent on contributions, gifts, and grants, which account for 35% of revenue.

High Value Exhibits

Many museums, zoos, and historical sites house valuable, sometimes irreplaceable, objects or animals.

Jul 22, 2026 - Immersive Attractions Challenge Museums

• Traditional museums are facing growing competition from immersive, for-profit attractions as consumers increasingly prioritize interactive experiences over traditional exhibits, according to a July 2026 New York Times report. Attractions such as the Museum of Ice Cream, which draws about 1 million annual visitors across six locations, are attracting families and tourists that might otherwise visit traditional museums. The shift comes as museums contend with declining tourism, rising operating costs, and weaker philanthropy. A recent SMU DataArts study found museum revenue fell 36% between 2019 and 2024, while nearly half of museums operated at a loss in 2024, up from 36% in 2019. To remain competitive, museums may need to expand interactive programming, family-focused experiences, and educational offerings while balancing entertainment with their core missions of preserving and interpreting art and culture.
• While overall US services activity expanded at a slower pace in June, the Arts, Entertainment & Recreation segment outperformed the broader sector, leading all 14 industries reporting growth even as the ISM Services PMI eased to 54.0 from 54.5 in May. The segment ranked first for overall industry growth and Business Activity, second for New Orders, and was one of only three industries reporting growth in New Export Orders, signaling stronger demand than the services sector overall. However, it also experienced higher input costs, despite the overall Prices Index declining to 67.7 from 71.3 in May. The industry was not among those reporting employment growth, suggesting businesses remain selective about hiring despite robust activity.
• According to a report in Outdoor Life, the Trump administration’s proposed 2027 budget would cut National Park Service (NPS) operations funding by more than 25% ($736 million) while directing billions toward beautification projects in Washington, DC, raising concerns across the US parks sector. A $17.4 million no-bid fountain restoration contract in Lafayette Square alone exceeded earlier estimates by roughly $12 million. Meanwhile, the NPS faces a 24% reduction in full-time staff after DOGE-era cuts, with another 3,000 permanent jobs proposed for elimination. Critics warn the cuts could worsen a deferred maintenance backlog affecting 433 national parks and historic sites, reducing visitor services, conservation work, education programs, and wildlife management. Supporters argue DC restoration projects support tourism and national celebrations, but advocates say shifting resources away from parks and cultural institutions risks long-term impacts on public access and preservation.
• Funding pressure remains the clearest takeaway for museums, according to the Art Museum Director Survey 2025 by the American Alliance of Museums. In the survey, 76% of art museum directors cited lack of financial resources as their top constraint, and 45% expressed high confidence in securing ongoing funding, lower than for other operational areas. Directors now spend an average of 23% of their time on fundraising, grant writing, and donor engagement. At the same time, institutions remain focused on public service: 96% prioritize educational programming, and 94% prioritize serving as a trusted source of information. Labor costs also remain important, with 92% prioritizing livable wages and 79% citing comparable pay as a five-year priority. For museums, the findings suggest continued mission strength, but rising pressure to diversify revenue, strengthen donor support, and balance public programming with staffing and financial sustainability.

Industry size & Structure

The average museum employs 19 workers and generates about $2.6 million annually. The average historical site employs 13 workers and generates about $1.2 million annually. The average zoo employs about 65 workers and generates about $7 million annually. The average natural park employs 13 workers and generates about $1.6 million annually.

• The museum, natural park, and zoo industry consists of about 7,700 firms that employ about 179,000 workers and generate $21.6 billion annually.

• The museum industry is fragmented; the top 50 companies account for about 40% of industry revenue. The historical site, zoo, and natural park industries are more concentrated, with the top 50 companies accounting for approximately 60% of industry revenue.

• Museums account for about 65% of industry revenue and 70% of firms. Zoos and botanical gardens account for 23% of revenue and 9% of firms. Historical sites account for 6% of revenue and 13% of firms. Natural parks account for 5% of revenue and 8% of firms.

• Large organizations include the Smithsonian Institution, the Art Institute of Chicago, and the San Diego Zoo.